Beautiful Virgin Islands

Tuesday, Feb 20, 2024

Disappointing! BVIEC did not heed our warnings, says Delta

Disappointing! BVIEC did not heed our warnings, says Delta

Delta Petroleum has said it is disappointed by the BVI Electricity Corporation’s (BVIEC) recent public statement claiming, among other things, that Delta had indicated its ‘inability to continue to source and supply the required fuel’ for which they were contracted.
But in a press statement dated Friday, May 13, Delta said it was seeking to “set the record straight”.

Delta said the worldwide disruption of fuel supply because of the war between Russia and Ukraine continues to impact the availability of fuel in the Caribbean and particularly the No. 2 diesel fuel that the BVIEC had chosen to rely on.

Delta further said that during contractual negotiations between the two parties back in October 2021, it implored the BVIEC to consider including Ultra-low-sulfur Diesel (ULSD) as a backup supply plan.

However, the petrol company said the BVIEC did not take heed.

“The No.2 Diesel demand is under five per cent demand in the Caribbean market and dwindling. Delta’s position was based on known No.2 Diesel Fuel supply concerns, and the fact that No.2 Diesel Fuel is environmentally unfriendly (dirtier than other suitable and readily available fuels), which is surprising given BVIEC’s well-publicised Green initiatives. Specifically, on October 26, 2021, Delta warned BVIEC Management and Board in a formal presentation that ULSD should be included in its Supply Agreement to mitigate the identified risk to No.2 Diesel Fuel supply,” Delta said.

“ULSD is in plentiful supply and is a more environmentally friendly product causing less pollution/environmental impact. BVIEC chose to ignore Delta’s professional advice,” it added.

The petroleum company said it requested another meeting with BVIEC’s management this year to identify alternative fuel solutions.

“We did manage to meet with the chair of BVIEC on April 13th. However, despite numerous requests, written and oral, BVIEC management was unwilling to meet and discuss the situation and risk that it posed,” Delta stated.

It continued: Delta and BVIEC management finally met on May 5, 2022, one month after Delta had formally raised the risk and its concerns. Delta was determined that BVIEC’s fuel supply should be maintained. An extraordinary supply of 100,000 gallons of Ultra Low Sulphur Diesel (ULSD) was indeed delivered on Monday, May 9, 2022.

Delta said that notwithstanding this May 9 delivery, the BVIEC terminated their Fuel Supply Agreement one day after.
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